In comparison to driving in other countries, yes, Italy can be more of a challenge. Make sure you get as small of a car as possible. A full size car can be challenging on the narrow, small town roads. I would like to address a few things to consider when driving in Italy.
Autostrada: Being only two lanes, stay in the right lane unless passing. Even then, you will see a car behind, or in front of you, straddling the middle line dividing the lanes. I personally don't get it, but it's very common.
City/Town Inner City Streets: When driving in the towns in Italy, one needs to be aware of Limited Traffic Zones, or Zona Traffico Limitato in Italian, abbreviated to ZTL. Many historical centers of Italian cities have set up these limited traffic zones in order to reduce congestion and pollution, and there are significant fines for driving into one of these unauthorized zones. This website has pics of the signs and more information on the limitations: /www.italybeyondtheobvious.com/dont-mess-with-ztl-zones
Tickets for Speeding/Parking: Be aware of speed traps/monitors on the autostrada and within the towns. If you have a GPS, sometimes it will alert you to upcoming speed monitors. There may also be signs on the autostrada warning of speed monitors. You will not be stopped for speeding but you will get a ticket back in the States. And, yes, if others are speeding along side of you, all of you will be ticketed. Just because they are driving over the speed limit doesn't mean a "free for all".
Driving in Rome/Pompeii/Amalfi Coast: For our visit to Rome, a car would have been a hindrance. Instead, we parked the car, for free, at the train station in Orvieto and took the train to Rome. For our visit to Pompeii, we did drive into town, stayed overnight in a local town and found parking at a campground. Be aware that this is a very crowded town and there is a reason why every car has dents/scratches. I have only heard about driving the Amalfi Coast. Not sure if those narrow, winding roads would be for me.
Travel Insurance: My trip insurance includes my rental vehicle. Upon further investigation into what is and is not covered with my credit card, I decided that I needed extra insurance that would cover "loss of use", exterior mirrors, tires, the under carriage, etc. On my last rental car, we confirmed that there is no spare tire in the trunk--only a can of air.
I'm sure you are aware that for Venice you will have to park in the parking structure which is quite expensive. Also, many Cinque Terre towns do not have parking. Do your research ahead of time.
Enjoy your trip. I love the freedom of driving and you will too.